A subsidiary of Ormat Technologies has signed an agreement with RET Holdings to sell its 10MW Heber Solar PV project in Imperial county, California, for $35.35m.
Ormat Nevada says it received an initial $15m payment with
the balance due next quarter, subject to fulfillment of certain milestones.
Ormat Technologies will record a $7m pre-tax gain from the transaction.
Ormat chief executive Dita Bronicki says the company
fulfilled its objectives with the Heber project. Those included to benefit from
the synergies between Ormat’s geothermal plants and solar development, and to
apply its development and experience as an engineering, procurement and
construction contractor in utility-scale
It also sought to develop a profitable project – its first
for solar in the US, she says.
“We plan to continue monitoring the solar market and pursue
opportunities for developing PV plants in locations where we can offer
competitively priced power generation,” Bronicki adds.